Enterprise Software Spending: India, China To Grow at Double-Digit Rates in 2018 as well

India and China will continue to lead the Enterprise software spending in the coming year with a rate of 19.8 per cent and 18.9 per cent increase from last year respectively says the report conducted by Gartner, an Information technology and research company.

Even though the spending in both countries rise in a tremendous pace, they both differ over their selection for technology vendors. In China, corporate branding is the important software selection method whereas in India the organizations concentrate more on contract flexibility and pricing. According to the study, Chinese organizations focus on open source, ECM (enterprise content management), CRM (customer relationship management) and in India most popular ones are ECM, CRM, business intelligence and open source( enterprise edition).

As per the survey, India will reach $2.5 billion ( 16,271 crore) in 2018 with a whooping increase of 19.8 per cent from last year whereas China will reach $5.1 billion ( 33,193 crore) with a rise of 18.9 per cent than 2017. Compared to China, India is more aggressive in spending because India has a good percentage of respondents who wants to increase spending.

Commenting on the spending spree, Keith Guttridge, a research director from Gartner says, “In India, expanded competition and availability of skills are other top reasons for increased spending. In China, many end-user organisations are struggling to keep up with fast growing customer requirements, and must invest in their rapidly expanding customer bases,”

According to the respondents, In India the most influenced areas are digital transformation (agreed by 91%), followed by mobile (agreed by 88%) and artificial intelligence (88%) and in China, cloud/SaaS, IoT and mobile tops the order with 63%, 62% and 60% respectively. Market research firms confirm that enterprise software continues to exhibit strong growth with worldwide software spending projected to grow 9.5% and 8.4% in 2018 & 2019 respectively.